Trying to sell your house fast during a divorce? If you’ve been through it, you know what a difficult and emotional process that is, so it’s essential to be clear about your goals and figure out which solution will work fast and work best for you. This is especially true if both sides of the divorce aren’t on the same page. Selling your house during divorce might sound intense but it can often be a very beneficial way to help both people find a fresh start and begin to move forward. Also, it might just be a requirement of the divorce arrangement. Whatever the reason, if you need to sell your house fast in a divorce, Element Homebuyers is here to help. But let’s take a closer look at everything you need to know when selling your house during a divorce.
What To Know When Selling House During Divorce
Selling The House During Divorce
When it comes to selling the house during a divorce, it’s critical to consider the many reasons why it makes sense to sell the house fast before the divorce is finalized. First, selling your house now could mean more financial benefits for you. The profits of the sale can be used by one or both people to build a foundation from which they can begin their post-separation life. If people on both sides of the divorce already have other houses or homes, selling this house could cut down on the costs involved. No point in paying taxes and utilities on a house that neither person is going to live in. It also make not make a lot of financial sense to keep the house much longer, especially if one or both sides of the divorce are dealing with financial situation changes or expect to soon.
You also want to consider the emotions involved with selling a house fast during a divorce. Selling a house that you used to live in with your ex-spouse can make for a literal closure on the relationship. This is the end of the marriage and the house can be a metaphor for that. There are a lot of emotions tied up in the house and if one person decides that they want to keep living there but the other person does not, it could strain things between the two sides. That’s especially true if the person moving out still bears some responsibility for the house financially. It may simply make life easier for everyone to walk away and start fresh.
Process of Selling a House During Divorce
If you plan to sell your house during a divorce and you want to sell it on the housing market, both sides need to have reviewed and agreed upon all the financial concerns and potential issues in order to make sure they’re all sorted out. Is the house in both names or just one? Did you purchase the house with a joint mortgage? If you’re both financially liable for the property, then you both need to be involved in the decision-making process when it comes to how the house will be sold. There are plenty of other decisions that need to be made as well, including who will pay for repairs, who owns the items inside the house, who will handle taxes, and whether or not certain items in the house need to be set aside for sentimental reasons.
You should reach out to a lawyer who specializes in these kinds of divorce issues. Not to mention you should also probably speak to a tax specialist who can give you a good sense of what you’ll need to pay for the house and everything in it. You don’t want to sell the house in a way that comes back to bite you in costs, taxes, and fees. Of course, all of these specialists will require payment for their services.
Prepare The House To Sell
If you decide to sell your house on the market during a divorce, you’ll want to make sure it is in the best condition it can be in, especially if you want to sell it fast. So you’re going to have to make repairs, renovations, and upgrades where needed.
Remember to consider the time and costs involved in fixing up your house. They will accumulate quickly and you need to prioritize the house repairs you need to make based on cost and value. Since you’re dealing with a divorce, you might also have to find common ground between the two sides on what is worthwhile and what isn’t. And be sure it’s well-understood who is responsible for paying for any repairs.
Make sure you do your best to up the curb appeal of the house as well. As soon as the house is listed, potential buyers will drive past it in order to get a first impression. Don’t give them any reasons to keep driving. That means maintaining the lawn and landscaping, cleaning the garage, raking the leaves, and generally making the exterior look spotless.
Finding an Agent with Divorce Selling Experience
If you’re going to sell your house on the market, you’ll want to consider working with a real estate agent. Believe it or not, there are real estate agents who specialize in divorce. They understand how to deal with the details and pitfalls that come with selling joint property. In fact, some of them will even get a special certification that shows their understanding of tax issues when it comes to family-related home sales.
Of course, remember that when you work with a real estate agent, you’re going to have to pay a commission fee. That fee can vary but is usually anywhere from four to six percent of the sale price. So let’s say you sell your house during a divorce for $400,000. You’ll be on the hook to give up roughly $16,000 to $24,000 of that. That commission fee is then split between your agent and the buyer’s agent. You might be thinking that giving up $16,000 to $24,000 isn’t a big deal, but remember that the commission fee technically comes out of your home equity.
Selling the House to an Investor
Another way to sell your house during a divorce is to sell it directly to a cash buyer or investor.
If time is of the essence, you don’t want to pay a real estate agent fee, or you simply would rather just sell the house without the hassle of the housing market, selling your house as-is to Element Homebuyers will make your life a lot easier.
When you sell the house to an investor like Element, you avoid real estate agents and commission fees. You also don’t have to pay for repairs or cleaning. You get a fair cash offer that you’re under no obligation to accept. You get to close on the sale on your timeline, often within days if you like. And you get cash for your house so you can move on to the next phase of your life.
Settling on an Agreed Price
If you decide to sell your house on the open market, you’ll want to make sure you’re selling at an agreed price that makes sense. So long as it’s possible, both sides need to come together to figure out what they want to ask for their house and what they’re willing to sell the house for eventually. You want to be sure both sides can agree on the lowest price they’ll accept.
As for what that price is, it depends on a lot of factors. You need to consider the true market value of the house, what similar houses in the neighborhood have sold for recently, what the condition of the house is, what other amenities it has to offer, and more. Price the house too high and you’ll scare off potential buyers. Price the house too low and you’ll have people wondering what’s wrong with it. You want to find the sweet spot in the middle that attracts buyers who want to make offers.
Dividing the House Sale Cash with Your Former Partner
Once you’ve sold your house during a divorce, it’s time to divide the house sale cash with your former partner. Hopefully, you have had discussions beforehand about how this will work, whether or not you’ll split the proceeds 50/50, or if there is a special arrangement between the two based on financial arrangements. The last thing you want is to sell your house and then realize that you don’t have a plan for how to divvy up the money. If there weren’t hard feelings beforehand, this is the kind of thing sure to create them. If lawyers need to be involved in these conversations and agreements, it might be worth it just to avoid legal issues down the road.
Selling your house during a divorce can be a thorny and tricky situation. But if you can find a way to work with the other side and make smart choices, you’ll find that you have options. And if you want to sell your house during a divorce fast, reach out to Element Homebuyers today and we’ll make you a fair cash offer ASAP, often within 24 hours. We look forward to helping you out!